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Numerous hoteliers and restaurant owners have taken legal action in an attempt to secure compensation for operating losses suffered as a result of measures taken during the health crisis.

 

The legal battle is ongoing. Rulings have been made both for and against compensation.

However, given the precedents that exist, it is now clear that restaurants should be compensated. According to numerous rulings, the administrative orders passed on 14, 15 and 16 March 2020 and on 29 October 2020 putting in place various measures to control the spread of the virus did indeed force restaurants to close. Almost all the rulings required insurers to compensate restaurant owners for their operating losses.

For hotels, the situation is very different. It is currently in the balance pending a ruling from the Court of Appeal.

It is reasonable for hoteliers to hope that they will secure an entitlement to compensation for their operating losses, as the numerous travel restrictions and border closures put in place clearly did prevent tourist hotels from providing a service to their guests, because the guests could not travel.

Watch this space!

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